Business

A stable economy Claudia Sonea

In October orders advanced by 0.5 percent, according to The Commerce Department. Although the figures were a lot higher than it was expected, the adjustment for changes in prices still has to be done. The demand was increased due to higher oil and energy prices that led to orders at oil refineries and chemical plants. The orders for durable goods dropped 0.2 percent, while those for the non-durable goods like petroleum rose by 1.3 percent and the entire amount of factory orders rose 3.4 percent since July. As it is, the worker productivity rose 6.3 percent this summer putting an end to the wage pressure. Furthermore, business payrolls increased by 189,000 in November that was well above the expectation for a modest gain of 50,000 jobs. Enthusiastic about the ADP report, economists exaggerated in their forecasts for job growth in the government's employment report which will be released Friday. Friday's employment report is expected by everyone, especially by the Fed wanting to know if they will have to cut interest rates for a third time to keep the economy out of a recession. Also investors are interested in due to the fact that a rate cut is the most desirable and after the comments of Fed Chairman Ben Bernanke and Vice Chairman Donald Kohn last week it seems most probably to happen. Reinforcing their comments Peter Orszag, director of the Congressional Budget Office, said Wednesday on Capitol Hill that troubles in housing, the credit markets and rising oil prices will lead most definitely to a recession of the economy. The current quarter is not well regarded and GDP is expected to slow to a barely discernible 1.5 percent or even less, meaning that the economy is in continuous danger of recession due to multiple blows of a prolonged housing slump, a severe credit crunch, rising energy costs and faltering consumer confidence. Even if for the time been the economy looks stable because of the increased worker productivity and the ease in wage pressure, there is still the risk of inflation getting out of hand. The good news is that Bush administration introduced a program to freeze rates on some of the 2 million subprime mortgages that are due to reset to higher rates over the next two years. Stay connected more to come!

related story: http://news.yahoo.com/s/ap/20071205/ap_on_bi_ge/economy;_ylt=AtblYek_RzOm2Ijax4XR2ACs0NUE

by Claudia Sonea for PocketNews (http://pocketnews.tv)

PocketNews is a new real-time news broadcaster delivering the latest and hottest news right to your pocket ! With global clients who want to be kept up to date, PocketNews is everyone's way of keeping in touch with the World.

These news are brought to you by CantellTV, its technology partner SigEx Telecom and its founder Chris Cantell. CantellTV is the fastest growing provider of digital broadcasting coupled with enhanced communications, allowing people to easily control, view, upload and share digital content through proprietary interface. CantellTV has relationships with a growing network of international clients delivering millions of videos per day with more than 50,000 new videos uploaded and 200 hours of new TV shows broadcasted daily to a wide range of viewers, from 5 to 7 year olds of LiveCartoons; to 16 to 24 year old active social users of MyJumps; to fortune 50 corporate clients utilizing enhanced broadcasting services. CantellTV is committed to delivering infinite choices to your world of entertainment at the tip of your fingers. Chris Cantell retains consulting arrangements with several pre-IPO companies.

edited by Tatiana Kucharikova

Labels: Business, CantellTV, Chris Cantell, Christopher Cantell, digital broadcasting, SigEx Foundry, SigEx Telecom

posted by Blog TechSource @ 7:59 AM